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How the Press Gave Madoff Four More Years to Steal His Billions
It’s one of the greatest and most shameful failures in the history of journalism. In the new edition of our newsletter Eamonn Fingleton traces how the Wall Street Journal was handed a precise outline of Madoff’s Ponzi scheme in 2005 and sat on it. The New York Times also passed on chances to nail Madoff. Thousands, poor as well as rich, lost their life savings in consequence. Read Fingleton on how the watchdogs of the Fourth Estate took good care to snooze in their kennels. ALSO in the new edition, Paul Craig Roberts concludes the shortest, sharpest outline of economics ever written with a brilliant essay on the economics of a full, green world. Get your new edition today by subscribing online or calling 1-800-840-3683 Contributions to CounterPunch are tax-deductible. Click here to make a donation. If you find our site useful please: Subscribe Now! CounterPunch books and gear make great presents.
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Today's Stories Feb. 27 - March 1, 2009 Alexander Cockburn Harry Browne Anthony DiMaggio Sasan Fayazmanesh Mischa Gaus Felice Pace Mike Whitney Lee Sustar Peter Lee Nicole Colson Rannie Amiri Missy Beattie Dave Lindorff Robert David Steele Vivas John Ross Ralph Nader Yves Engler Alan Farago Zulfikar Majid David Yearsley Charles R. Larson Kim Nicolini Website of the Weekend February 26, 2009 Dave Lindorff Jonathan Cook Patrick Cockburn Mike Whitney Eamonn McCann Tim Wise Tom Barry Harvey Wasserman Adam Turl David Macaray James McEnteer Website of the Day
February 25, 2009 Chris Sands M. Shahid Alam Chris Floyd Dave Lindorff Norman Solomon Rachel Godfrey Wood Niranjan Ramakrishnan Ron Jacobs Nadia Hijab Dennis Loo Website of the Day February 24, 2009 Paul Craig Roberts Uri Avnery Peter Morici Jonathan Cook Paul Fitzgerald / Andy Worthington Brian Horejsi Julia Stein Norm Kent Rachel Smolker / Dennis Loo James McEnteer Website of the Day February 23, 2009 Michael Hudson Mike Roselle Patrick Cockburn Franklin Spinney Einar Már Guðmundsson Ralph Nader Jordan Flaherty Helen Redmond Dennis Loo Harvey Wasserman Terry Lodge Website of the Day February 20 / 22, 2009 Alexander Cockburn Michael Neumann / Ismael Hossein-zadeh Paul Craig Roberts Linn Washington Jr. Saul Landau Marjorie Cohn Binoy Kampmark Dave Lindorff David Yearsley David Macaray James McEnteer Rick Salutin Wayne Clark Richard Rhames Stephen Martin Mitu Sengupta Charles R. Larson Richard Morse Lorenzo Wolff Poets' Basement Website of the Weekend February 19, 2009 Norman Finkelstein Harry Browne Robert Bryce Brian M. Downing Fred Gardner Andy Worthington Wajahat Ali Laura Carlsen Deb Reich Christopher Ketcham Website of the Day February 18, 2009 Paul Craig Roberts Mike Whitney M. Shahid Alam Patrick Cockburn Conn Hallinan Dave Lindorff Rannie Amiri Gareth Porter Eric Hobsbawm Christopher Brauchli Martha Rosenberg Website of the Day February 17, 2009 Michael Hudson Mike Whitney Ralph Nader Joanne Mariner John Ross Belén Fernández Mats Svensson David Macaray Gregory Vickrey M. Junaid Levesque-Alam Michael Dickinson Website of the Day February 16, 2009 Patrick Cockburn Oscar Guardiola-Rivera Paul Craig Roberts Uri Avnery P. Sainath Dedrick Muhammad / Michael Brown Carla Blank Patrick Irelan Dan Bacher Fidel Castro Harvey Wasserman Website of the Day February 13 - 15, 2009 Alexander Cockburn Joshua Frank Mike Whitney George Ciccariello-Maher Nikolas Kozloff Brian M. Downing Paul Craig Roberts Christopher Ketcham Ron Jacobs Dave Lindorff Alan Maass Chuck Spinney Phil Gasper Stephen Lendman Charles Thomson Kathy Sanborn Saul Landau Len Wengraf Harvey Wasserman David Macaray Tom Stephens Seth Sandronsky David Yearsley Lorenzo Wolff Kim Nicolini Poets' Basement Website of the Weekend
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Weekend Edition CounterPunch DiaryIs Nancy Pelosi Really Against War Crimes?By ALEXANDER COCKBURN Is it even remotely possible that senior officials in the Bush administration - maybe even at least one of the top two - will be the target of public war crime hearings and even criminal prosecutions, here in the United States? From dismissal only a few months ago by leading Democrats in Washington as unthinkable, the glorious possibility can at least be glimpsed in the middle distance, like the mountain lion I saw here a decade ago in the twilight, loping off into the brush. For the perps, overseas is already dangerous terrain. George W Bush's first defense secretary, Donald Rumsfeld, fled Paris a couple of years ago to avoid having to honor a subpoena from French investigators, replicating a similarly hasty exit from the French jurisdiction by former secretary of state Henry Kissinger. For almost the entire four years of Bush's second term, one of the main campaigns of the left was to pressure the Democratic leadership to support impeachment proceedings against the president and vice-president. The posture of your CounterPunch editors was always that impeachment was never on the cards and consumed far too much energy, not to mention expectation. We always said that the realistic line should be to ensure that Bush, Cheney, Rice, Gonzales, Yoo and the others should spend the rest of their lives on the Most Wanted lists, afeared to answer a knock on the hotel room door in any foreign capital, lest it presage a lawyer with a subpoena or a pair of handcuffs. Following regime change in Washington in January, the official tone in Washington remained anchored in “bygones be bygones” mode. Senator Pat Leahy of Vermont has talked about a Truth and Reconciliation Commission, which he claimed would instruct future transgressors that torture is just plain wrong and contrary to international laws and covenants. Maybe Leahy’s hogging of the torture-probe spotlight irked House Majority leader, Nancy Pelosi. Last Wednesday, February 25, Pelosi was interviewed for an hour by MSNBC's Rachel Maddow, who asked the top House Democrat what her reaction would be to any charges levelled at the Republicans who've now retreated to private life and are writing their memoirs.
In active English, Pelosi's pious phraseology about no one being "above the law" translates into something like: "These guys are out of power and their popularity ratings are in the toilet so now it's safe at least to talk about turning the dogs on them." And since Pelosi controls the assignment of hearings to relevant committees in the House, this means that she could give the green light to House Justice Committee chairman John Conyers to organize hearings. Equipped with a capable director and subpoena power - that is, the ability to compel testimony and documents under the threat of criminal sanction - such hearings could form the first of what the left regards as necessary show trials, both of the criminals in Washington who trashed the Constitution and the criminals on Wall Street who looted the economy. Officials of an avowedly outlaw regime would be in the dock for flouting the US constitution and international law regarding treatment of 'enemy combatants' and torture of captives either directly by US personnel or indirectly, by kidnapping those suspected of terrorism and handing them over to allies to be tormented in prisons in Egypt or Thailand or eastern Europe. There is already a significant trail of evidence that links torture in the US prisons at Guantanamo and Abu Ghraib directly to former Defense Secretary Donald Rumsfeld, as Andrew Cockburn described here on this website nearly two years ago. According to a sworn statement by Air Force Lt General Randall Schmidt, appointed in 2005 to investigate charges by FBI officials that there had been widespread abuse at Guantanamo, Rumsfeld gave verbal and subsequently written approval to torture suspects, using the notorious techniques of isolation, sleep deprivation and psychic degradation. When the micro-managing defense secretary was apprised by Schmidt of his own documented instructions to the torturers in Guantanamo, Rumsfeld said in apparent surprise: "Did [I] say 'put a bra and panties on this guy's head and make him dance with another man?'" In the case of Abu Ghraib, there is again a trail of evidence showing it was Rumsfeld who personally decreed and monitored stress positions, individual phobias, such as fear of dogs, sleep deprivation, and waterboarding. One US army officer, Janis Karpinski, has described finding in Abu Ghraib a piece of paper stuck on a pole outside a little office used by the interrogators. It was a memorandum signed by Rumsfeld, authorising techniques such as use of dogs, stress positions, starvation. On the paper, in Rumsfeld's handwriting, was the terse instruction, "Make sure this happens!!" In contrast to Pelosi's maybe temporarily toughening posture, over at the White House Obama has been sticking to the line that partisan witch hunts are part of the old politics of divisiveness and that it's time to move on Obama's Justice Department lawyers have told U.S. judges in explicit terms that the new administration will not be moving on from Bush's policies on the legal status of renditions and of supposed enemy combatants. Lawyers from Holder’s DoJ have emphasized to judges that they, like DoJ lawyers instructed by Gonzales and Mukasey, contend that captives seized by the US government and conveyed to secret prisons to be tortured have no standing in US courts and the Obama regime has no legal obligations to defend or even admit its actions in any US courtroom. “Enemy combatants” will not be afforded international legal protections, whether on the field of battle in Afghanistan or, if kidnapped by US personnel, anywhere in the world. This explicit continuity with the lawless Bush years has deeply disappointed many of Obama's supporters, though the current levels of Obama-worship are reminiscent of similar levels of uncritical adulation back in the Camelot era of John F. Kennedy. Perhaps the need to apply some salve to the disappointment impelled Pelosi to take the harder stand she adopted last Wednesday. It’s hard to believe that the San Francisco millionairess actually wants to see pitiless investigation in a House committee of torture policies she effectively condoned in the Bush years. But here is a rich opportunity for the left. Obama’s pledges in the campaign to run a lawful government were very explicit. Last Tuesday he declared to the joint session of Congress that “I can stand here tonight and say without exception or equivocation that the United States of America does not torture. We can make that commitment here tonight.” Of course this is an outrageous lie. In all likelihood a CIA officer or agent is torturing a captive in Afghanistan even as I write these lines. More generally, the US does torture, the same way it always has, furnishing its kidnapped victims to subcontractors in secret prisons. As the doors of Guantanamo close, there are many unknown facilities around the world supervised by the CIA, running ful blast, with zero accountability. If Pelosi feels it politically meet to open the door a crack, we should welcome the opportunity. We’re looking here at a campaign for retribution that will last well beyond an Obama presidency and which may indeed include Obama himself among its targets, if he pursues his present policies.
Photo by Alexander Cockburn. Footnote: I took this photos of tortured people at the Museum of the City of Lima and of the Inquisition a couple of weeks ago. CounterPunchers should start building similar museums right here, right now. Last Call! There’s still just a couple of days in which to subscribe and get our current crackerjack newsletter. Eamonn Fingleton has a terrific piece on Bernie Madoff, describing in compelling detail how the press dropped the ball on this apex Wall Street scamster who looted $50 billion. The Wall Street Journal actually had the story in 2005, having been handed his 19-page report by Harry Markopolos, accurately outlining Madoff’s criminal enterprise. The SEC had turned its face to the wall, prompted to inaction by internal inertia and possible corruption, also by powerful forces in Congress. A story in the Journal, using Markopolos’ research, would have blown Madoff sky-high and saved billions for the people he bilked, the not-so-rich as well as the plutocrats. But the Journal did nothing and Fingleton describes how and why it took that course. The New York Times displayed similarly apathy. Amid the death throes of the old corporate press, Fingleton pitilessly excavates one of its greatest failures. The smoking gun was placed in their newsroom in-trays and they carefully looked the other way. Also in this new edition of our newsletter Paul Craig Roberts concludes his three-part series on economics, -- the shortest, sharpest guide ever written. Let me quote a couple of paragraphs:
Get our newsletter to read Roberts’ outline of full-world economics. Alexander Cockburn can be reached at alexandercockburn@asis.com
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